Back in January 2018, Spotlite USA showcased a fresh Bitcoin miner known as the KashMiner.
The organization also claimed it had been a licensee of camera maker Kodak. Now, however, Spotlite has stops operations and has since denied any ties to the brandnew.
However, what is happening?
Spotlite: Bad Business or Scam?
You will find two big indicators the KashMiner was some sort of scam or a poorly fated small business strategy.
The original was a business model that provided very little return for its shareholders; Spotlite was supplying 2-year rentals on its own KashMiner machine to get a rental price of $3,400. With that, clients will be entitled to only half the estimated $9,000 value of Donating Bitcoin over the 2 decades. Industry experts were skeptical about the mathematics saying that the monthly yields were misleading and customers will fight to break even.
It had been promised that 80 of those devices were in performance and Spotlite, regardless of the controversy had plans to cultivate its operation farther.
A Wolf in Sheep’s Clothing
Matters got worse as it was found that the KashMiner was a Bitmain Antminer S9 system with Kodak branding onto its own casings. Subsequently Kodak introduced a statement denying any link using Spotlite USA and its own machine. It told the BBC the enterprise was not officially licensed and no apparatus had been installed.
Due to its questionable behaviour, the SEC has since stopped the operations of Spotlite however the firm CEO Halston Mikail, has planned to set up the KashMiners in Iceland for lease for mining.
Regardless of the controversy, in its unveiling in January, the leasing plot caused Kodak’s stocks to triple in cost. So although Spotlite might have coveted the new, Kodak still gained markedly in the new mining strategy.
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Kodak itself has developed its blockchain system; KodakOne, that is geared toward photographers. It has postponed the launch of its own KodakCoin however that was expected to have it is ICO in January.